Securities and Exchange Commission

Three men have been charged criminally and civilly for allegedly defrauding investors in a scheme where they sent out e-mails encouraging recipients to buy “penny” stocks whereupon the defendants would confidentially sell their own shares – and made what regulators called “a substantial profit.”

This week’s historic shutdown of the New York Stock Exchange (NYSE) trading floor – due to a likely technical failure (possibly from a software update) – revealed the vulnerability of one of the world’s most important financial institutions.

This is the second in a six-part series of privacy and security articles provided by the Data Privacy & Security Group of Quarles & Brady,LLP a national law firm. For the first piece in the series, click here.